diff --git a/eng/common/TestResources/AzurePowerShellV4/Utility.ps1 b/eng/common/TestResources/AzurePowerShellV4/Utility.ps1
new file mode 100644
index 000000000..0bac797fb
--- /dev/null
+++ b/eng/common/TestResources/AzurePowerShellV4/Utility.ps1
@@ -0,0 +1,153 @@
+# Copied from https://github.com/microsoft/azure-pipelines-tasks/blob/a1502bbe67561f5bec8402f32c997406f798a019/Tasks/AzurePowerShellV4/Utility.ps1
+
+function Get-SavedModulePath {
+    [CmdletBinding()]
+    param([string] $azurePowerShellVersion)
+    $savedModulePath = $($env:SystemDrive + "\Modules\az_" + $azurePowerShellVersion)
+    Write-Verbose "The value of the module path is: $savedModulePath"
+    return $savedModulePath 
+}
+
+function Get-SavedModulePathLinux {
+    [CmdletBinding()]
+    param([string] $azurePowerShellVersion)
+    $savedModulePath =  $("/usr/share/az_" + $azurePowerShellVersion)
+    Write-Verbose "The value of the module path is: $savedModulePath"
+    return $savedModulePath
+}
+
+function Update-PSModulePathForHostedAgent {
+    [CmdletBinding()]
+    param([string] $targetAzurePs)
+    try {
+        if ($targetAzurePs) {
+            $hostedAgentAzModulePath = Get-SavedModulePath -azurePowerShellVersion $targetAzurePs
+        }
+        else {
+            $hostedAgentAzModulePath = Get-LatestModule -patternToMatch "^az_[0-9]+\.[0-9]+\.[0-9]+$" -patternToExtract "[0-9]+\.[0-9]+\.[0-9]+$"
+        }
+        $env:PSModulePath = $hostedAgentAzModulePath + ";" + $env:PSModulePath
+        $env:PSModulePath = $env:PSModulePath.TrimStart(';') 
+    } finally {
+        Write-Verbose "The updated value of the PSModulePath is: $($env:PSModulePath)"
+    }
+}
+
+function Update-PSModulePathForHostedAgentLinux {
+    [CmdletBinding()]
+    param([string] $targetAzurePs)
+    try {
+        if ($targetAzurePs) {
+            $hostedAgentAzModulePath = Get-SavedModulePathLinux -azurePowerShellVersion $targetAzurePs
+            if(!(Test-Path $hostedAgentAzModulePath)) {
+                Write-Verbose "No module path found with this name"
+                throw ("Could not find the module path with given version.")
+            }
+        }
+        else {
+            $hostedAgentAzModulePath = Get-LatestModuleLinux -patternToMatch "^az_[0-9]+\.[0-9]+\.[0-9]+$" -patternToExtract "[0-9]+\.[0-9]+\.[0-9]+$"
+        }
+        $env:PSModulePath = $hostedAgentAzModulePath + ":" + $env:PSModulePath
+        $env:PSModulePath = $env:PSModulePath.TrimStart(':') 
+    } finally {
+        Write-Verbose "The updated value of the PSModulePath is: $($env:PSModulePath)"
+    }
+}
+
+function Get-LatestModule {
+    [CmdletBinding()]
+    param([string] $patternToMatch,
+          [string] $patternToExtract)
+    
+    $resultFolder = ""
+    $regexToMatch = New-Object -TypeName System.Text.RegularExpressions.Regex -ArgumentList $patternToMatch
+    $regexToExtract = New-Object -TypeName System.Text.RegularExpressions.Regex -ArgumentList $patternToExtract
+    $maxVersion = [version] "0.0.0"
+    $modulePath = $env:SystemDrive + "\Modules";
+
+    try {
+        if (-not (Test-Path -Path $modulePath)) {
+            return $resultFolder
+        }
+
+        $moduleFolders = Get-ChildItem -Directory -Path $modulePath | Where-Object { $regexToMatch.IsMatch($_.Name) }
+        foreach ($moduleFolder in $moduleFolders) {
+            $moduleVersion = [version] $($regexToExtract.Match($moduleFolder.Name).Groups[0].Value)
+            if($moduleVersion -gt $maxVersion) {
+                $modulePath = [System.IO.Path]::Combine($moduleFolder.FullName,"Az\$moduleVersion\Az.psm1")
+
+                if(Test-Path -LiteralPath $modulePath -PathType Leaf) {
+                    $maxVersion = $moduleVersion
+                    $resultFolder = $moduleFolder.FullName
+                } else {
+                    Write-Verbose "A folder matching the module folder pattern was found at $($moduleFolder.FullName) but didn't contain a valid module file"
+                }
+            }
+        }
+    }
+    catch {
+        Write-Verbose "Attempting to find the Latest Module Folder failed with the error: $($_.Exception.Message)"
+        $resultFolder = ""
+    }
+    Write-Verbose "Latest module folder detected: $resultFolder"
+    return $resultFolder
+}
+
+function Get-LatestModuleLinux {
+    [CmdletBinding()]
+    param([string] $patternToMatch,
+          [string] $patternToExtract)
+    
+    $resultFolder = ""
+    $regexToMatch = New-Object -TypeName System.Text.RegularExpressions.Regex -ArgumentList $patternToMatch
+    $regexToExtract = New-Object -TypeName System.Text.RegularExpressions.Regex -ArgumentList $patternToExtract
+    $maxVersion = [version] "0.0.0"
+
+    try {
+        $moduleFolders = Get-ChildItem -Directory -Path $("/usr/share") | Where-Object { $regexToMatch.IsMatch($_.Name) }
+        foreach ($moduleFolder in $moduleFolders) {
+            $moduleVersion = [version] $($regexToExtract.Match($moduleFolder.Name).Groups[0].Value)
+            if($moduleVersion -gt $maxVersion) {
+                $modulePath = [System.IO.Path]::Combine($moduleFolder.FullName,"Az/$moduleVersion/Az.psm1")
+
+                if(Test-Path -LiteralPath $modulePath -PathType Leaf) {
+                    $maxVersion = $moduleVersion
+                    $resultFolder = $moduleFolder.FullName
+                } else {
+                    Write-Verbose "A folder matching the module folder pattern was found at $($moduleFolder.FullName) but didn't contain a valid module file"
+                }
+            }
+        }
+    }
+    catch {
+        Write-Verbose "Attempting to find the Latest Module Folder failed with the error: $($_.Exception.Message)"
+        $resultFolder = ""
+    }
+    Write-Verbose "Latest module folder detected: $resultFolder"
+    return $resultFolder
+}
+
+function CleanUp-PSModulePathForHostedAgent {
+    # Clean up PSModulePath for hosted agent
+    $azureRMModulePath = "C:\Modules\azurerm_2.1.0"
+    $azureModulePath = "C:\Modules\azure_2.1.0"
+    $azPSModulePath = $env:PSModulePath
+
+    if ($azPSModulePath.split(";") -contains $azureRMModulePath) {
+        $azPSModulePath = (($azPSModulePath).Split(";") | ? { $_ -ne $azureRMModulePath }) -join ";"
+        write-verbose "$azureRMModulePath removed. Restart the prompt for the changes to take effect."
+    }
+    else {
+        write-verbose "$azureRMModulePath is not present in $azPSModulePath"
+    }
+
+    if ($azPSModulePath.split(";") -contains $azureModulePath) {
+        $azPSModulePath = (($azPSModulePath).Split(";") | ? { $_ -ne $azureModulePath }) -join ";"
+        write-verbose "$azureModulePath removed. Restart the prompt for the changes to take effect."
+    }
+    else {
+        write-verbose "$azureModulePath is not present in $azPSModulePath"
+    }
+
+    $env:PSModulePath = $azPSModulePath
+}
diff --git a/eng/common/TestResources/Import-AzModules.ps1 b/eng/common/TestResources/Import-AzModules.ps1
new file mode 100644
index 000000000..3cd7b3124
--- /dev/null
+++ b/eng/common/TestResources/Import-AzModules.ps1
@@ -0,0 +1,11 @@
+. "$PSScriptRoot/AzurePowerShellV4/Utility.ps1"
+
+if ($IsWindows) {
+    # Copied from https://github.com/microsoft/azure-pipelines-tasks/blob/9cc8e1b3ee37dc023c81290de1dd522b77faccf7/Tasks/AzurePowerShellV4/AzurePowerShell.ps1#L57-L58
+    CleanUp-PSModulePathForHostedAgent
+    Update-PSModulePathForHostedAgent
+}
+else {
+    # Copied from https://github.com/microsoft/azure-pipelines-tasks/blob/9cc8e1b3ee37dc023c81290de1dd522b77faccf7/Tasks/AzurePowerShellV4/InitializeAz.ps1#L16
+    Update-PSModulePathForHostedAgentLinux
+}
diff --git a/eng/common/TestResources/deploy-test-resources.yml b/eng/common/TestResources/deploy-test-resources.yml
index 7f6b6daac..6f0db25d6 100644
--- a/eng/common/TestResources/deploy-test-resources.yml
+++ b/eng/common/TestResources/deploy-test-resources.yml
@@ -21,6 +21,8 @@ steps:
   - template: /eng/common/TestResources/setup-az-modules.yml
 
   - pwsh: |
+      eng/common/TestResources/Import-AzModules.ps1
+
       $subscriptionConfiguration = @"
         ${{ parameters.SubscriptionConfiguration }}
       "@ | ConvertFrom-Json -AsHashtable;
diff --git a/eng/common/TestResources/remove-test-resources.yml b/eng/common/TestResources/remove-test-resources.yml
index 01e9f64d5..a0871a2ff 100644
--- a/eng/common/TestResources/remove-test-resources.yml
+++ b/eng/common/TestResources/remove-test-resources.yml
@@ -21,6 +21,8 @@ parameters:
 
 steps:
   - pwsh: |
+      eng/common/TestResources/Import-AzModules.ps1
+
       $subscriptionConfiguration = @"
         ${{ parameters.SubscriptionConfiguration }}
       "@ | ConvertFrom-Json -AsHashtable;
diff --git a/eng/common/TestResources/setup-az-modules.yml b/eng/common/TestResources/setup-az-modules.yml
index 9329ddf58..b5369f433 100644
--- a/eng/common/TestResources/setup-az-modules.yml
+++ b/eng/common/TestResources/setup-az-modules.yml
@@ -20,16 +20,14 @@ steps:
     displayName: (MacOS) Grant access to ~/.Azure
     condition: contains(variables['OSVmImage'], 'mac')
 
-  # New-TestResources command requires Az module
-  - pwsh: Install-Module -Name Az -Scope CurrentUser -AllowClobber -Force -Verbose
-    displayName: Install Azure PowerShell module
-
   - task: Powershell@2
     inputs:
       displayName: Register Dogfood environment
       targetType: inline
       pwsh: true
       script: |
+        eng/common/TestResources/Import-AzModules.ps1
+
         $environmentSpec = @"
           $(env-config-dogfood)
         "@ | ConvertFrom-Json -AsHashtable;